The examination of social exchange led John Thibaut and Harold Kelley to develop social exchange theory, a process which was facilitated by Thibaut spending a year at the Center for Advanced Study in the Behavioral Sciences where he had significant interaction with Kenneth Arrow.

The early variations of Social Exchange Theory stem from Alvin Ward Gouldner's (1960) norm of reciprocity, which simply argues that people ought to return benefits given to them in a relationship. Peter M. Blau built on the work done by George C. Homans in Exchange and Power in Social Life (1964). Later modifications to this theory focus attention on relational development and maintenance rules (see Murstein et al.).

Thibaut's later research was in the area of procedural justice, where he co-authored a book with legal expert Laurens Walker.